APPCityLife faces mounting tax liens

ABQ tech co. APPCityLife faces mounting tax liens




Lisa Abeyta
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Lisa Abeyta
COURTESY LISA ABEYTA


By Collin Krabbe
Technology reporter , Albuquerque Business First
May 13, 2019, 4:19pm EDT
An Albuquerque tech company known for its work on government projects owes over $100,000 in back taxes, in addition to back rent to its former landlord.

APPCityLife, a local software firm, has received four tax liens totaling over $113,000 from the federal government since October, Bernalillo County Clerk's Office records show.

The company plans to repay its debts and is seeking more funding, founder and CEO Lisa Abeyta told Business First in multiple interviews. Abeyta also said the lien amounts are inaccurate and "far inflated over what the information is." The Internal Revenue Service said it could not comment due to federal privacy laws.

APPCityLife builds mobile applications to increase access to services and information, and has worked with the city of Albuquerque and other municipal governments. The company was a 2017 Business First Innovation New Mexico winner.

According to an April 2018 complaint filed in Second Judicial District Court, Texas general partnership Moby Partnership claims APPCityLife failed to pay rent for the months of October, November and December in 2017. Moby sought a judgment for $9,318 in unpaid rent plus interest and fees, according to the complaint, after one or more checks from APPCityLife were returned for insufficient funds.

In May 2018, APPCityLife filed a counterclaim alleging Moby "substantially deprived tenant of the beneficial use" of the leased space, which APPCityLife vacated by December 2017, due to ongoing construction. In a June 2018 response to the counterclaim, Moby acknowledged the upper floor was built out into new office suites on the premises, 8650 Alameda Blvd. NE, but denies that it deprived APPCityLife of beneficial use of the facility.


The two parties finalized a settlement of the suit in September, according to a separate Second Judicial District Court complaint filed by Moby against APPCityLife in January 2019.

According to that complaint, APPCityLife breached the settlement, which allegedly included a $10,000 promissory note plus interest payable to Moby by APPCityLife by the end of November. On March 11, APPCityLife was ordered to pay Moby a total of $11,039.76, including damages, interest and attorney fees and costs as part of a default judgment.

Chappell Law Firm attorney Bill Chappell, who represented Moby in the suit, declined comment.

Abeyta told Business First that Moby and APPCityLife initially had "a good working relationship," but meetings and phone calls became near impossible during renovations. APPCityLife's May 2018 counterclaim alleged Moby would not provide information for when construction could be expected to stop. APPCityLife is now located at 7801 Academy Road NE.

Moby Contract Manager Larry Stroup, who oversees the Alameda property, said APPCityLife has yet to pay Moby any of what it is owed following the default judgment. Abeyta said the company plans to pay its back taxes.

Abeyta also told Business First in early April that APPCityLife's financial situation stems in part from a capital commitment from a New Mexico-based investment group that fell through after she was told the funds had been wired. She said APPCityLife is pursuing new sources of funds. APPCityLife also has had to temporarily send workers home in recent weeks, she said.


The company, which was founded in 2009, has raised more than $1.6 million over the course of two funding rounds in 2013 and 2015, according to U.S. Securities and Exchange Commission documents.

COMPANIES IN THIS ARTICLE

Appcitylife, Inc

Albuquerque, NM